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JosephSenese
Level 1

COGS?

Afternoon,

 

So I have this deal with a company where I use their truck to service my customers and they pay me 65% of its revenues. (Referred as ABC Co.) 

For ease lets say I bill out a $100 load to my customer.

I charge my customer $100

ABC Co bills $100 to me

I receive check for $100 from customer

I receive check from ABC Co for $65 (65% of revenue)

I write check to ABC Co for $100

My net is $65.

 

IN QB I have all expenses for ABC Co but how do I record the payments because they are not revenues?

Thanks in advance for your help! - Joe

3 Comments 3
MaryLandT
Moderator

COGS?

I'm here to help record the payment in QuickBooks Online, JosephSenese.

 

You can create a sales receipt to record the check you've received for the 65% of revenue. Let me show you how:

 

  1. Click + New.
  2. Select Sales receipt.
  3. Select the customer from the Customer dropdown. Note: If you haven't set them up in QuickBooks yet, select Add a new customer.
  4. Enter the sales info, such as the payment method.
  5. Enter line items for the products and services you sold.
  6. When you're done, click Save.

Once done, you can create an invoice for the customer who pays $100. Navigate the Receive Pwrite a cayment function to record the payment.

 

Then, write a check for the payment you've made to ABC Co. 

 

In case you need to print the check, check out this link for instructions: Add checks to the print queue.

 

Stay in touch with me if you need additional information about this. I'm always around to help you.

JosephSenese
Level 1

COGS?

Thank you for the fast response. I should state that though this has gone on for all of 2020. I have all customer invoices records and all payments to ABC Co. Whats not recorded is the checks from ABC Co. Because if i record them as revenue i would be overstatinf my revenues as it is not revenues just money exchanging hands for the use of the vehicle.

MaryJoyD
QuickBooks Team

COGS?

Thank you for getting back to us and providing us with more details about your concern, @JosephSenese.

 

I can provide additional information on how to record your revenue without overstating it. 

 

You can record it by adding a Bank deposit.

 

Follow the steps below:

  1. Go to the + New button and select Bank deposits.
  2. Set the account you want to put the money into and don't forget the date.
  3. Scroll down to the Add funds to this deposit section.
  4. Provide all the information needed and I suggest reaching to an accountant or tax advisor in choosing the best account to use. 
  5. Hit Save and close or Save and new once you're done.

You can also check this article for more information: Record and make bank deposits in QuickBooks Online.

 

Here's also an article that tells you more about when to use an invoice or sales receipts: Should I use an invoice or a sales receipt?

 

Please let me know if I can be of additional assistance in recording your transactions. I'll be around to help you out. Take care and have a wonderful day!

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